The RICS House Price Index came out at 12:01am, yes 1 minute after midnight London time. I may have forgotten this but I was awake watching the price action at the Asian open. This is the 2nd Asian session in a row where the USD has gained. Last night the drop in the EURUSD was quite dramatic, about 160 pips total after the fake out move higher to 1.4085 it turned and blasted down....well it is the good NFP after effect, but what about QE2...gold did got over 1400 today, well the Euro is not Gold after all and there are some doubts about the situation in Ireland.
Anyhow RICS is one of the more reliable House Price news that comes out of the UK, with Rightmove the worst. It was awhile since I checked the deviations to trade on this report, however the news came out of the TradeTheNews service with an additional note that the number was an 18 month low. Here is the data:
*(UK) RICS OCT HOUSE PRICE BALANCE M/M: -49% V -39%E (18-month low)
As the chart shows, a quick 30 pips was made, good money for this small under the radar report. Also notice that there was a good 20-30 seconds to get in. Price bounced back up about 10 pips and then dived back down another 22 or so. I usually like to get out on the 1st low, as u can never be sure if the bounce will continue, and if it does turn back around the trader can ride it down for more pips. More pippage with forex news trading.
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